Investment and green finance: which way to go?

The link between investment and green finance was the subject of the second panel of the 23rd edition of the Maghrebian Economist Forum, organized on the topic “Tunisia faces economic challenges of environmental and energy transition”. Are we going to green the country? What is the impact of a possible charred trajectory? What tools should be used in the Tunisian financial market to encourage green projects? How to encourage green funding? Is it possible to provide financing for environmentally friendly projects by subsidizing interest rates?

Opening this second panel on green finance, Samir Said, Minister of Economy and Planning, recalls the National Reform Program recently presented by the government. Among other things, it aims to produce 2,000 MW of renewable energy in 2023-2024 and 2025. “We are working on it. We need an agreement with UGTT to find a solution. We must succeed. ” The Minister emphasizes this in his address to the UGTT. He added: “There are significant opportunities for diversification of resources, and investors are ready to invest. »

Optimist Herve Lorenzi, founder and member of the Circle of Economists and president of the Aix-en-Provence Association of Economic Meetings, stressed that savings must be significant and strong to encourage such investments. He also said that deep transformations should be implemented. As for the carbon tax, Hervé Lorenzi says Africa is being punished today. “We need 4% more investment to achieve the goals of COP21. Green finances are important, but the path is not easy. International issues must be resolved fairly, “he said.

CDC and the issuance of green bonds

How does the Caisse des dépôts et de consignation (CDC) view the situation in Tunisia? To answer this question, Necchia Garba, Managing Director of the CDC, reminds us that the fund plays an important role in stable investment. In particular, through the support of innovative companies, support in the environmental and energy transition. And this is within the framework of Sustainable Development Goals 6.7 and 13. In the same context, the CEO of the CDC raises the issue of issuing green bonds. Thus, he appeals to private entities to take advantage of the funding available in this area.

Alexander Borde, CEO of Cibola Partners, for his part, touched on the issue of donations and loans.

Bonus score

Returning to the issue of financing green and environmentally friendly projects, the managing director of the National Agrarian Bank (BNA) Mondher Lahal said that the provision of loans with subsidized rates is now possible. “We have to go now. Each bank must also have its own environmental management system. It is possible for SMEs to obtain financing, for example, with a long maturity and at a low cost. We are ready to apply bonuses for environmentally friendly companies. But an appropriate regulatory framework must be created. ” This is what the CEO of BNA assures us, who called for thinking about the environment, because it is an imperative, not a luxury.

Rafael Leschain, EY Europe West Renewables’ leader in strategic operations, emphasizes the need to focus on the right projects. To invest in green projects, Rafael Leshanouan especially recommends long-term national ambitions. As well as a road map every three years and relevant regulations to make green projects profitable. “Today, private investors play an important role in the environmental and energy transition,” he said.

Finally, Wissem Agili Ben Youssef, Ph.D., Director of the MBA-Eslsca Paris Business School, notes the need to manage the asymmetry of information between owners and applicants for funding. She believes that few companies know how to assess environmental performance.